Unlock Your World Class Potential

UNLOCK Your World-class Potential Playbook Strategies for Business Operations Excellence Tom Stiveson With Foreword by

Admiral Richard Truly

Denver, Colorado

Unlock Your World-Class Potential Playbook Strategies for Business Operations Excellence

Tom Stiveson WCBBI.com TomStiveson.com Published by Tendril Press™ and imprint of A J Business Design and Publishing Center, Inc. www.TendrilPress.com 303.696.9227 © 2015 by A J Business Design and Publishing Center, Inc. No part of this publication may be reproduced, stored in a retrieval system, or transmitted in any form or by any means, electronic, mechanical, photocopying, recording, or otherwise, without the prior written permission of A J Business Design and Publishing Center, Inc., except for brief quotations embodied in critical reviews and certain other noncommercial uses permitted by copyright law. For permission requests, write to the publisher, addressed “Attention: Permissions Coordinator,” at the number above.

The material in this book is furnished for informational use only and is subject to change without notice.

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ISBN 978-0-9858933-5-4 Paper Library of Congress Control Number: 2015939375 Scripture taken from the New King James Version copyright © by Thomas Nelson, Inc. Used by Permission. All rights reserved.

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This book is dedicated to the hard-working men and women who aspire to become the best they can be and strive for excellence in their work centers by actively improving their skills, performance, and working conditions.

Through their energy and commitment the World-Class model can become a truly game changing event.

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Great leaders are almost always great simplifiers, who can cut through argument, debate and doubt, to offer a solution everybody can understand. —Colin Powell

Contents List of Coach Charlie’s Game-plays........................................................................vii Foreword—by Admiral Richard H. Truly...............................................................ix Acknowledgements.................................................................................................. xiii Abbreviations.............................................................................................................xv Introduction..................................................................................................................1 Chapter 1—The Gridiron in Real Time.................................................................5 Chapter 2—Bread and Butter................................................................................ 19 Chapter 3—Evaluate Facility Operations............................................................ 35 Chapter 4—World-Class=..................................................................................... the highest caliber of excellence in the world................................ 49 Chapter 5—Use Precision in Every Play............................................................. 59 Chapter 6—Communications................................................................................ 69 Chapter 7—Every Dollar Counts.......................................................................... 79 Chapter 8—Career Advancement Plans.............................................................. 87 Chapter 9—Learning is Power—Understand the Process............................... 99 Chapter 10—Getting Closer to the End Zone.................................................109 Chapter 11—Decipher, Communicate, Train with Precision, and Track the Smallest of Details........................................................................119

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Chapter 12—A World-Class Facility Close to Realization.......................125 Afterword.................................................................................................................133 Glossary....................................................................................................................137 Bibliography.............................................................................................................139 About the Author ..................................................................................................141 About the Illustrator..............................................................................................145 Index ........................................................................................................................147

Coach Charlie’s Game-plays Play #1...........................................................................................................................8 Play #2...........................................................................................................................8 Play #3...........................................................................................................................9 Play #4........................................................................................................................ 15 Play #5........................................................................................................................ 19 Play #6........................................................................................................................ 35 Play #7........................................................................................................................ 39 Play #8........................................................................................................................ 41 Play #9........................................................................................................................ 43 Play #10...................................................................................................................... 47 Play #11...................................................................................................................... 47 Play #12...................................................................................................................... 54 Play #13...................................................................................................................... 55 Play #14...................................................................................................................... 60 Play #15...................................................................................................................... 63 Play #16...................................................................................................................... 64 Play #17...................................................................................................................... 66

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Play #18...................................................................................................................... 66 Play #19...................................................................................................................... 71 Halftime with Coach Charlie................................................................................. 72 Play #20...................................................................................................................... 79 Play #21...................................................................................................................... 80 Play #22...................................................................................................................... 81 Play #23...................................................................................................................... 82 Play #24...................................................................................................................... 83 Play #25...................................................................................................................... 84 Play #26...................................................................................................................... 87 Play #27...................................................................................................................... 88 Play #28...................................................................................................................... 89 Play #29...................................................................................................................... 90 Play #30...................................................................................................................... 92 Play #31...................................................................................................................... 96 Play #32....................................................................................................................102 Play #33....................................................................................................................103 Play #34....................................................................................................................105 Play #35....................................................................................................................113 Play #36....................................................................................................................116 Play #37....................................................................................................................121 Play #38....................................................................................................................123 Play #39....................................................................................................................126

Foreword

by Admiral Richard Truly From that day over 50 years ago when I first pinned on my naval aviator wings, fresh out of flight training and known by the Navy term “a nugget,” I have found myself on one team or another that has been unique and has set itself apart with its absolute excellence. The cultures and details of each were certainly very different, but when I look back and think about them, they all shared common qualities to learn from.

First, the carrier deck. Everyone immediately thinks of those dashing carrier pilots, but in reality they are just a very small part of a highly trained, experienced group of professionals that perform their mission in an unbelievably hazardous environment—and make it look easy! Every sailor and officer on the deck, each wearing a colored jersey to identify their unique role, has mastered their job through long hours of training; but with the wind howling, the deck slick and moving, aircraft taxiing and vehicles driving about constantly, props turning, jet exhaust everywhere, believe me it is an exciting job! From high above in the Air Boss’s perch, it looks like a ballet with colored shirts moving all about and aircraft launching or landing constantly. And it plays out day and night, in all kinds of weather all around the world, because the mission demands it!

The carrier deck is a great example of the saying “responsibility, authority and accountability is a three-legged stool.” In other words, every person knows what’s expected, their boss trusts them and lets them do their job, and whether success or failure is the result, they own it.

Then Test Pilot School, first as a student, then an instructor. I thought I knew a lot about airplanes and flying from carrier operations at sea, but in those two

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years I flew almost 50 different aircraft. They were large or small, fast or slow, beautiful or ugly, and each were utterly different in performance and flying qualities. And each flown so precisely the test pilot could quickly pick out the good and bad points of each; and especially spot the traps the airplane could lead an unsuspecting pilot into—beyond a safe point of return. Experimental flight testing is a rewarding business where sweating the details in preparation pays off in spades.

Next, the American space program, both national security and the exploration programs of NASA. I vividly remember the first time I watched the mission control team at NASA as they calmly and quietly monitored and controlled an orbital mission. Absent in the control room were the physical dangers of the carrier deck, but the ballet was still evident; the dangers were located in the cockpit of a spacecraft hurtling along at 17,500 miles an hour, half a world away. The astronauts in that spaceship were most certainly on the same team as the young, educated controllers I was watching.

Our space program is not one World-Class operation; it is layers upon layers of World-Class operations. It is made up of government professionals, astronauts, spacecraft contractors, logisticians, university researchers, policy analysts and yes, politicians who see the national worth to our society of this enormous and complex effort. Together, they make the impossible happen. The public sees one big team that does it, but in reality there are teams within teams, each with its own responsibility; and on each team, from the leader at the top to the most junior person, every member has an innate understanding of their personal place in the mission. The three-legged stool of responsibility, authority and accountability really means something to them.

Recently, I walked through the front door of the Jet Propulsion Laboratory ( JPL), operated for NASA by the California Institute of Technology in Pasadena, California. Passing by a full-scale mockup of Curiosity, which is currently driven from Pasadena by JPL controllers across the surface of the planet Mars, I faced a large, gray wall. On it, in huge letters, were three simple words: DARE MIGHTY THINGS

Foreword

This is what World-Class organizations do: • They look to the future, not the past.

• And not only do they constantly challenge their leaders and every employee to accomplish great things—they give them the tools to do the job.

How do World-Class organizations evolve to be? Is it just magic, or are there common sense, time-tested techniques that can be followed to achieve such excellence? Clearly, it is the latter.

If it’s time for you to dare your mighty thing, whatever it is, this book is filled with tools that can be put to use along the way…read on!

Richard H. Truly Vice Admiral, U.S. Navy, (Ret.)

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Acknowledgements I wish to acknowledge several people who have selflessly assisted in the production of this book.

Cecile Higgins, my dedicated and talented editor, encourager, and brainstorming partner.

Karin Hoffman, my mentor and guru in the new to me arenas of publishing and business marketing.

Kelly Lovato, General Manager WinWholesale, Inc., for his encouragement professionalism, and always making himself available for a chat.

Stefanie Simpson, Sugar Pea Photography, Photographer extraordinaire.

Hermann Rodriguez, my trusted compadre’, who encourages me to action. It’s time for the dance!

Pastor Todd Scheuerman, for his encouragement, spiritual guidance, and entrepreneurial direction. Thanks for encouraging me to live “The Great Adventure.”

Paul Donarum, my former manager to whom my original challenge, “What would it take, gentlemen, to make this a World-Class facility?” is attributed.

Jeff Porter, super user extraordinaire, former business mentor, and fulltime confidant and friend.

My wife, Karen, who carefully balanced praise and criticism throughout. And the rest of my family (Keli and Jeremy Lambert, and Matthew and Krista Stiveson) for always being willing to listen to my dreams and cheer me on to reality.

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Abbreviations CEO: Chief Executive Officer CLAMP Closed Loop Aeronautical Maintenance Program CPR: Cardiopulmonary Resuscitation CQI: Continuous Quality Improvement DC: Distribution Center DOT: Department of Transportation HR: Human Resources ISO: International Organization for Standardization IT: Information Technology OJT: On-the-Job Training OSHA: Occupational Safety and Health Administration P&L: Profit and Loss QR Code: Quick Reference Code RF: Radio Frequency ROI: Return On Investment SAP: Systems Applications and Products SKU: Stock-Keeping Unit STEP: Supervisor Training Education Program TQM: Total Quality Management WCBBI: World-Class Business Builders International, LLC WMS: Warehouse Management Systems software xv

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Introduction

World-Class=the highest caliber of excellence in the world.

Many in your field simply go about maintaining a mediocre, run-of-the-mill facility that may someday fail or just plod through barely surviving. Since you have this book, I trust running a mediocre facility is not for you, and you’re looking for the right resource to guide you in the transformation of your facility to a higher level of excellence—World-Class excellence.

My goal is to empower you to reach that dream level of excellence, acquire the extraordinary operational management skills and rise to the level of a manager of substance. I believe in applying an equal balance of attention to the International Organization for Standardization (ISO) and to the human capital side of Facility Management in order to excel in the world arena.

Note to Reader A World-Class facility is consistent with the ISO standards.

The ISO official standards consists of documents which provide requirements, specifications, guidelines or characteristics that can be used consistently to ensure that materials, products, processes and services are fit for their purpose. The ISO publishes over 19,500 International Standards and updates that can be purchased from the ISO store or from its members.

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Invest in your people—your human capital. Train your team in ISO strategic methodologies to achieve World-Class status!

As you follow the play-by-play strategies you will begin to unlock your WorldClass potential and, in time, transform your business operations. Success will take 100 percent of your motivation and commitment to unleash a bold, fresh vision, which can grab hold of your newly learned capabilities to move to the top of the World-Class list.

After spending years in the field of Facility Management, I learned first hand the importance to spend equal time and energy on the operational side as well as the human capital side. The few companies that achieve World-Class status pay great attention to their people. They hire well, train well, and motivate their people to perform at the level of excellence required to maintain a World-Class facility where everyone wins—from the floor sweeper to the CEO! Know your human capital comes first. Never release them to the competition during hard times, as they may be impossible to hire back during good times.

Unlock Your World-Class Potential won’t read like a dry textbook. You’ll read narrative text filled with pertinent on-the-job information. You’ll be presented Plays to record and assemble your own World-Class Operations Playbook that you can apply to your work situation—Plays that make sense and work in real time situations.

You’ll meet Zack, a newly promoted manager, with whom you’ll be able to relate, who is often in work situations similar to your own circumstances. I’m his coach and mentor as well as yours, and together we can walk through challenges and opportunities designed to empower you, your teams and your facility to World-Class status.

And then there’s Coach Charlie’s Game-plays. Charlie is a smart and savvy successful businessman, former football coach, and an all-around encourager. He’s a bigger than life character as he summarizes the short-term and long-term operational action plans. He is detail-oriented and totally focused on your success.

Coach Charlie is very experienced and successful in transportation and logistics operations. He uses the familiar locker-room whiteboard to give you important Game-plays, tips, and strategies to assemble your World-Class Operations

Introduction

Playbook for the ultimate facility makeover. He’s assertive and demanding when necessary, charismatic, and possesses the ability to influence others with positive results. He can’t be swayed to make poor decisions. Coach Charlie thinks before he acts, yet he won’t hesitate to obtain advice from trusted colleagues before making a critical operational or hiring decision.

Spending quality time with the team on the floor is important to Coach Charlie.

There isn’t a single function he hasn’t performed himself. He’s confident in his team and has cross-trained this highly qualified group of men and women in tasks and functions. Coach Charlie also believes in creating a healthy balance between time spent in operations and time spent with his people. The “Ten Building Blocks of Success,” are among Coach Charlie’s top priorities, and he trains his team in these Success Blocks as well.

Although Coach Charlie seeks ways to maximize performance, he manages to display humility and maintains an attitude of fairness. He knows continuous quality improvement is paramount and stresses to the team, great sacrifices must be made at times. A focused team is challenged to put forth its best effort every day, accept change as positive, and provide valuable input while holding each other accountable for individual actions.

One last trait that makes Coach Charlie the expert he is—he’s trained through years of experience to chart a successful game plan to devise and offer the best actions possible. He knows it’s essential with every process to analyze, scrutinize, and plan with precision while measuring each step of progress. He never fails to look for and analyze each opportunity that comes his way and make the adjustments necessary. And when a challenge, even a seemingly insurmountable one, rears its head, Coach Charlie makes that adjustment, too.

Coach Charlie will appear at the end of each chapter with his Post Game Analysis and to highlight his tips to summarize the major points you need to take away and use. He will guide you with on-the-job training (OJT) plans, which is essential to unlock your World-Class potential.

My greatest passion is to work with people, watch them grow, assist them with development and application of new skill sets through their hard work, focus, accepting change as positive, learning to effectively interface and communicate, knowing when to ask the right questions at the right time and to remain fearless

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with what appears to be an insurmountable challenge. Finally savor the moment when a well equipped and well rounded team finally realizes its full potential having achieved its highest honor: World-Class status.

There has been no greater joy in my life than when placed as a manager or a consultant in a work facility with great challenges. Mediocrity, chaos and complacency are formidable foes, yet for an employee that is unaware or overworked and burned-out, these foes are easy to partner with and downfall is sure to follow.

My dream is these strategies will be easy for you to follow and your Playbook will become the one source of information to transform your facility to a WorldClass facility. When the going gets tough, and the going will get tough on occasion (on an occasion when you may least expect), your Playbook will be an invaluable source to refer to again and again.

Tough times are character-building times for you and your team. Your character takes shape throughout the molding process. In the end these painful times can prove to be positive, growing times when you stick to the strategies I provide.

Throughout this book I use Quick Reference codes (QR codes) to direct you through your digital device to my website TomStiveson.com where you’ll find additional topic information, invaluable tips and resources. Please visit the site often and be sure to sign-up for the World-Class Insider newsletter. You may also contact me for individual concerns and a FREE 4 Hour Basic Assessment of your facility.

From time to time, I use Biblical illustrations to punctuate my thoughts and ideas. Scripture verses are taken from The Maxwell Leadership Bible: Lessons in Leadership from the Word of God ©2003, the New King James Version copyright © by Thomas Nelson, Inc. Used by Permission. All rights reserved.

Please note, the pronouns, he, him, and his, have been used as the gender neutral pronouns throughout the book.

The journey on which you are about to embark is one where you build a facility with excellent, international operating standards and one where you build a team of top-notch, excellent, highly qualified, ethical, cross-trained people who are committed to achieving World-Class standards!

Chapter 1

The Gridiron in Real Time

We’ll start with the first snap of the football and finish with the last whistle of the game, as we walk through the highlights of the field tested strategies I provide. Each strategy will guide you to unlock your potential and create a facility of the highest caliber in the world—a World-Class facility.

No doubt there’ve been days at work or evenings spent at home thinking about how you’ll improve the excellence in the facility where you work. Even if you’re jogging or enjoying dinner with friends, admit it; this is what you’re thinking about because it’s your big vision—building a facility of your dreams.

But have you done anything but dream about excellence? You don’t have to earn the title of president or founder before you stand for excellence. You can stand for excellence with your first job, even if it’s sweeping the floors. When I started out I swept my facility’s floors, and I was the best darn floor sweeper the company had ever employed. As a result, I worked my way clear up the organizational chart.

You see I had a dream, but I also had my playbook, and out of my playbook grew my vision—to create World-Class facilities.

Let’s kick off by getting on the same page as to exactly what a World-Class facility is in today’s competitive world of business. It’s best to know with absolute

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clarity what something is otherwise you’ll end up with vague ideas, vague plans, and an even bigger mish-mash of vague results. As your folks might have taught you, know the truth and lies won’t lead you astray.

What is a World-Class Facility?

Close your eyes and imagine yourself stepping into a highly evolved facility, a business operation that’s first-class and World-Class through and through.

Efficiency manifests itself in every sector. It’s so clean it shines, and the facility is organized like an Apollo mission. And it’s so lean every money pit has been sealed and discarded. Everyone is in tune with the demand that comes when surrounded by high-output mechanisms. The hint of a human whistle, a happy sound, permeates the air. The harmonious sound of computer controlled equipment of various sizes and shapes lumbers past in one direction and then another, all piloted by radio frequency (RF) commands. Everything is controlled and governed by reason and sound leadership commands are generated from all directions. It’s really all about the whistle.

Now open your eyes and believe you have the potential to create this WorldClass facility by following my Playbook strategies for building excellence in every aspect of your business operation. Let’s begin!

As we proceed through this book together, we’ll go into each of the components of a World-Class facility in far more depth in order for you to have a complete understanding of this unique process to create a special facility and to build the Playbook specific to your needs.

The Importance of Building a Playbook from Day One The following fictional character’s story is an example we’ll follow throughout the book. Imagine you’re Zack even if you’re a different gender, in a different industry, or you have different work experience: For eight years, Zack has worked at The Happy Radish Organic Food Distribution Company. He’s progressed through three material handler positions, to

Chapter 1 The Gridiron in Real Time

shipping clerk, to supervisor, to assistant manager, and now to the position he’s dreamed about—manager. From his years working in operations and learning all the positions on the floor and the operational components of the facility, he knows there are components that work well and there are problems. Many of the employees work at a status quo pace. From reading sales reports, Zack understands the company is experiencing a downslide in sales for the past four quarters. He’s observed, for the most part, upper management is stuck in its traditional ways of operating the business.

Happy Radish Organic Food Distribution Company currently employs 330 people, has been in business for twenty-one years, and nine years ago merged with another company. They share equal control.

What I suggest Zack do before he starts his first day as manager is to retreat to a place of peace and harmony either on his home’s back deck or in a park to start the Playbook.

Imagine it’s summer and Zack is going to catch the golden rays of an early Saturday morning sun like I do sitting in my Adirondack chair on the back deck of my home in Colorado. Zack and I will take our first sips of coffee and appreciate all is well in our neck of the woods.

As Zack’s personal coach, teacher, and trainer, I recommend he take a deep breath, savor and record this important moment in his personal Playbook he’s brought with him—and yes, Zack has brought one with him. This Playbook will be recorded from Zack to Zack—and you too will faithfully record in yours when you’re home on the weekend.

Why will Zack faithfully record in his Playbook on weekends? Because when he thinks of his recordings as an outline, he builds on the outline step-by-step, it will then eventually evolve into his official Operations Playbook.

Think with simplicity in mind. No need for lofty thoughts. Sir Richard Branson, successful businessperson, says, “Complexity is your enemy. Any fool can make something complicated. It is hard to keep things simple.”

When Zack builds his Playbook from Day One using my step-by-step process, it will help him to keep the process simple. Difficulty will arise when he doesn’t take time to thoughtfully and diligently apply every step of the process.

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I’m putting Zack on the back burner for a spell and speak directly to you.

Play #1 Gather Supplies to Assemble Your Playbook You’ll need a 3-ring binder with a set or two of 5 tab dividers. On my website wcbbi.com under the resources link, you will find the PDF template for the interior pages to print and create your Playbook. These pages are fillin-the-blank for you to enter your specific information as we move through the Plays.

Play #2 Set-up Your Playbook Let’s start with a title page and a title for your personal Playbook. I suggest you use your company name, and logo if you wish, followed by this title, WorldClass Operations Playbook: The Ultimate Makeover. Allow the words, ultimate makeover, to brew like an old monk’s beer in your mind. Tilt your face toward the sun and reflect on the title. It’s your ultimate plan to makeover your current work facility into a World-Class facility. Not a status-quo facility but a World-Class, excellent from top to bottom facility. Starting today this is your challenge and your opportunity.

Makeover is not only a change in physical appearance, but the word indicates a change from the inside out. Think of the days of old when factories stopped making buggy whips and moved to manufacturing Model T’s. And even as little as twenty years ago, who would have thought the world of technology would even remotely look like it does today?

As we work through this book, Coach Charlie and I point out Plays and other key points to enter into your World-Class Operations Playbook.

Chapter 1 The Gridiron in Real Time

Play #3 Use Daily Game-play Cards for Effective Planning In the World-Class Operations Playbook is a template of the Daily Gameplay cards. Instruct your team, at the end of their day, to plan what tasks they’re required to accomplish the following day. By distributing the Daily Game-play cards to your team, they can record their daily tasks and track the progress and completion of those tasks. Monitoring your team’s Daily Game-play cards is an excellent way for you, their manager, to keep your team accountable.

We’re all creatures of habit.

Some of us thrive on routine while others will sidestep it with a vengeance.

Routine can be your best friend or your worst enemy if you choose to ignore the basic components built into routine. By monitoring your team’s use of the Daily Game-play cards you are able to help those reluctant, or downright stubborn, to follow and develop the habit of routine. Caution them about the downfalls to wing-it as that false belief will not help create a World-Class facility and anyone who continues to follow that belief has no place on your team.

Let your team know the process of using a Daily Game-play card will take time to perfect. You, as their manager, will have your own Daily Game-play cards. You have the opportunity to demonstrate how you use and complete yours. …have a plan for everything. A plan for practice, a plan for the game. A plan for being ahead, and a plan for being behind 20 to 0 at half time, with your quarterback injured, and the phones dead, and its raining cats and dogs, and there’s no rain gear because the equipment man left it at home.

—Bear Bryant, Former Head Football Coach, University of Alabama

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When your team gets into the routine of filling out the Daily Game-play cards at the end of your day, they will find this task becomes simplified and part of their routine. In the morning, ensure they review their Daily Game-play cards in case changes need to be made.

Build Success into the Equation From the Foundation Up Make Good Decisions Early Whether starting your own company or you’re in a position of management in a private or public company, making good decisions early on to put the right operations and people in place or correcting any existing problems will set a strong foundation.

When making a good decision for the first time or correcting a previous poor decision with its own set of challenges, advice, strategies and methodology are offered to guide you through the decision-making process throughout the book.

A Solid Structure In Place for Good People Some elements of a solid structure are opportunities for growth, training, rewards, and clear procedures. These can be found throughout the chapters and offer steps to apply to your specific facility needs.

It’s key now, however, to think about these elements when you begin to plan, set-up and build your solid structure.

Success is Never a Given If you’ve inherited a company with a good success record, you can’t keep looking in the rearview mirror and expect the success to continue. A coach can have two winning seasons, grow complacent, and then get fired for suffering through a losing third. Success is never a given. Status quo will never ensure your place as a long-term competitor in the global marketplace.

Chapter 1 The Gridiron in Real Time

We live in a rapidly changing world, and there’s only room for forward, innovative and unique thinkers who are wise enough to keep their feet on the ground, God’s spiritual truths alive in their lives and never allowing themselves to be swept up in greed and corruption. Know who you are and what’s important in life or tragically you can end up like Bernie Madhoff.

The World-Class vision is your vision. It’s up to you to create or refine ways to make things different (if needed) but always better and always with your heart and mind on the achievement of your World-Class status.

It’s key you learn, communicate and put World-Class ideas and innovative methods into practice and lead your team, today, into a positive and successful future.

Buy your copy today to read more!

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Glossary

Bottleneck. A part of a workflow process that is too slow or cumbersome.

Carbon footprint. A measure of the amount of carbon dioxide produced by a person, organization or state in a given time, i.e., the carbon ‘cost’.

Distribution Center. A commercial center, where merchandise is received, stored, and redistributed according to customer orders as they are received.

Gridiron. The field on which American football is played, marked by lines that appear every 5 yards for the entire length of the field, which is 100 yards.

Hazardous materials. A substance, natural or man-made, which is intrinsically dangerous, or otherwise poses a safety hazard. Examples are materials which are explosive, poisonous, chemically active (including acids and other corrosives), radioactive, or biologically active (including human blood and other medical waste).

Human Capital. The stock of competencies, knowledge, habits, social and personality attributes, including creativity, cognitive abilities, embodied in the ability to perform labor so as to produce economic value.

International Organization for Standardization (ISO). An independent, non-governmental membership organization and the world’s largest developer of voluntary International Standards.

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Operations Board. A visual depiction of the status of various business operation elements such as Safety, Cost, Quality, Delivery, Morale, etc.

Quadratic Formula. Basically an algebraic formula that brings triangles, rectangles, and circles together as a way to extract precise measurements. In about 3000 BC, the Babylonians originally developed this technique. It is still used today for calculations in many practical business situations.

Radio Frequency (RF). The use of radio frequency technologies (the rate of oscillation which corresponds to the frequency of radio waves and the alternating currents which carry radio signals) in a warehouse to save time in scanning barcodes.

Serpentine. Winding pattern, resembling a snake.

Stack Chart. An employee evaluation method that slots a certain percentage of employees into each of several levels of performance. Often used as a management tool in determining salary increases.

Stock-Keeping Unit. A product service identification code often portrayed as a machine-readable bar code that helps the item to be tracked for inventory.

Succession Planning. A process for identifying and developing internal employees who have potential to fill key business leadership positions in the company.

Work Center. A section of a facility where all tasks associated with a particular process are completed.

World-Class. The highest caliber of excellence in the world.

Bibliography

Listed here are only the writings used in the making of this book. This bibliography is by no means a complete record of all the works and sources the author has consulted. It indicates the substance and range of reading upon which he formed his ideas, and it is intended to serve as a convenience for those who wish to pursue further study of the topics.

Crainer, Stuart. The 75 Greatest Management Decisions Ever Made…And Some of the Worst. New York: MJF Books, 1999.

Epstein, Lita. Reading Financial Reports for Dummies. New Jersey; John Wiley & Sons, 2013.

Gladwell, Malcolm. The Tipping Point. New York: Little, Brown and Company, 2006.

Greene, Bob. D-Day A Reminder of A United Nation. Chicago Tribune, June 7, 1994.

Lombardi, Vince Jr., What it Takes to Be Number 1: Vince Lombardi on Leadership, 1st Edition. New York: McGraw-Hill, 2001.

Maxwell, John C. Notes and Articles, The Maxwell Leadership Bible: Lessons in Leadership from the Word of God, the New King James Version. Tennessee: Thomas Nelson, 2003.

—— Ultimate Leadership: 21 Irrefutable Laws, Developing the Leader Within You. Tennessee: Thomas Nelson, 2007.

Orwell, George. The Road to Wigan Pier. Boston: Houghton Mifflin Harcourt, 1972.

Tracy, John A. Accounting for Dummies, 5th Edition. New Jersey: John Wiley & Sons, 2013.

Merriam-Webster’s Collegiate Dictionary, 11th edition. Springfield, MA: Merriam-Webster, 2003. Also available at http://www.merriam-webster.com/

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The Oxford Dictionary of English Grammar. Edited by Sylvia Chalker and Edmund Weiner. New York: Oxford University Press, 1998.

Web Resources: http://www.investopedia.com/dictionary/ Web. February 2015. http://www.iso.org/iso/home.html Web. January 2015. http://www.merriam-webster.com/

http://en.wikipedia.org/ Wikipedia: The Free Encyclopedia. San Francisco: Wikimedia Foundation. Web. February 2015. https://www.wiktionary.org/ Web. February 2015. http://www.wisegeek.com Web. February 2015.

About the Author

Today: I’m the Founding Principal and CEO of World-Class Business Builders International, LLC (WCBBI) located in Broomfield, Colorado. I’ve built a unique consulting firm designed to empower companies to achieve World-Class status by the instruction and guided implementation of targeted, current and powerful business improvement processes.

WCBBI sprang from my years of work experience and passion to assist almost any business with perfecting business operations processes.

A sharp focus on and commitment to the all-important human capital side of any business is what drives me to share my passion. In a World-Class environment, one can expect to be enriched by the high quality business standards that reflect World-Class excellence in the global marketplace.

Early Years: I spent most of my growing up years in Denver, Colorado.

After high school, I considered attending college to study journalism, but opted instead for a good-paying position with Shell Chemical Company where I was ultimately promoted to the level of fireman and trained to operate and monitor boiler operations.

Three years later, I joined my dad in the family-owned carpet business working in the warehouse where I became proficient at operating a forklift. Thus,

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affording me the opportunity to eventually facilitate equipment operations in both the military and civilian communities. During this time, I took the initiative to learn valuable warehousing operations skills that I would continue to perform and perfect throughout my career.

Military Career: Several years later, I enlisted in the US Navy with visions of traveling the world as an aircraft mechanic. While in the military, I volunteered to join an experienced team who played a vital role in receiving, storing, and distributing a vast line of aircraft maintenance supplies and replacement parts throughout the world. While on assignment, the Closed Loop Aeronautical Maintenance Program (CLAMP) was the springboard I needed to launch a successful career in logistics and supply chain management.

Moving Up the Ladder of Corporate Life: For me on-the-job training played a far more important role than pursuing a formal education. Of course, that’s not the case of everyone. Whatever job I held, whether in the military or in corporate life, I always worked hard, learned whatever I could, made a positive impact, and obtained excellent references in order to successfully secure a job at another good company and at a higher level of responsibility.

Lockheed Martin Aerospace Company: My military experience led to my recruitment by Lockheed Martin Aerospace Company where I was eventually promoted to a senior logistics analyst, the highest level available for a non-degreed employee.

I was promoted from Material Handler III to Logistics Lead, and then to Supervisor of the Logistics Department. I was then promoted from Supervisor to Logistics Analyst, and finally Logistics Analyst Sr. I supported multiple departments including Logistics, Transportation, Facility Maintenance, and Procurement. Received certification in Supervisor Training

About the Author

Education Program (STEP). As a precursor to STEP, I successfully completed the INTERACT course and played a vital role in developing and implementing ISO 9001 policies and procedures. I developed and managed the budget for the Transportation Department, conducted Forklift Operator Certification training and Ethics training for select departments and received my Hazardous Materials and First Aid Certifications.

Ultimate Electronics (Sound Track): Fourteen years later, I accepted a position with Ultimate Electronics (Sound Track) as their Operations Manager where I honed my quality business operations improvements. I also developed, documented, and facilitated implementation of the Distribution Center Operations Manual. I performed Equipment Operations Certifications for an employee base of 125 individuals, developed and implemented a detailed Policies and Procedures Manual used by the employees, which was previously non-existent. In addition, I was responsible for managing Distribution Center Operations—spanning three shifts and performed annual reviews and job performance evaluations, time studies for each department, resulting in the restructuring of operating processes throughout the facility to standardize processes and improve efficiencies.

WinWholesale, Inc.: Three years later, after transforming the vast distribution network, I joined WinWholesale, Inc., as the regional distribution center manager, leading 25 distribution center employees in a 125,000 square foot facility with an inventory in excess of 6.5 million dollars. It was in this position that I perfected my WorldClass business development skills.

My achievements included: Effectively managed the Risk Management process.

Reduced shipping operating expenses by 40%, while maintaining ship• ping volume and accuracy.

•

Achieved 100% accuracy during 2007 and 2008 inventory of an 8000 SKU warehouse facility.

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•

Maintained 90% shipping volume and accuracy.

•

Provided World-Class support to ensure employee retention and quality customer care.

•

Analyzed business operations and implemented improved processes to maximize profit.

•

Evaluated and realigned performance standards to upgrade employee performance levels to World-Class standards.

Schlumberger Oil and Gas: After five successful years of service at the Win Group, I was moved to write my first business book based on a playbook of World-Class business building techniques and instructions. In my last assignment before developing the foundation for WCBBI, I joined the Schlumberger Oil and Gas team in Denver, assigned to improve many of the storage and distribution programs with performance ratings issue.

Supervised Material Flow, Storage, and Global Order Fulfillment. Maintained accurate stock records and schedules. Evaluated operational records and made scheduling adjustments to maximize efficiencies. Conducted monthly, quarterly, and annual inventories of warehouse stock. Operated Systems Applications and Products (SAP) and Oracle shipping systems efficiently and accurately. Realigned Receiving and Distribution processes in order to maximize efficiencies.

Performed detailed annual employee performance evaluations while developing succession planning recommendations.

Author and Consultant: After working successfully in the distribution and manufacturing environments for the past 20 plus years, I’m now excited to teach and train clients and people who read my book and visit my website. I want each of you to develop WorldClass principles and techniques designed to effectively and efficiently launch almost any business into the realm of World-Class status.

About the Illustrator

At an early age, Shannon Parish displayed an insatiable interest in how people think, express themselves, and display certain behaviors evident in their body language and facial expressions. Her uncanny intuitiveness resulted from an intense curiosity and love for finding solutions to various problems.

Drawing on her artistic talents, Shannon sketched her notes in class and her thoughts at home. In those days, children who drew all the time were seen as “goof-offs” and “not doing their homework properly.”

With the growth of the Internet, Shannon soon discovered that what she did naturally, taking visual notes, was called Graphic Recording and is coveted by top Fortune 500 companies. While complex conversations are presented, Graphic Recorders illustrate and summarize key points through drawing simple, easy-to-understand graphic images, metaphors, and symbols.

Studies show those who do graphic recording listen and understand on multiple levels. The live drawing of conversations, seminars, workshops, and brainstorming brings greater clarity. Participants who watch graphic recording have a 65% increase in retention and recall.

Utilizing her graphic recording talent, her love for cartooning, and her passion for emotional healing as a Professional Life Coach—which she became after 30 years in ministry and social work—Shannon is a very effective Creative Visual Coach. She uses these talents to clearly represent information, action steps, and vision by combining her experiences, skill sets, humor, and intuitive insights to empower people to move from where they are to where they want to be.

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Shannon resides in Colorado, where she enjoys opportunities to share her unique skills to empower individuals and groups to understand their personality types, motivations, strengths, and weaknesses which allows them to find their own individual paths in this world without shame, punishment, or fear. When others ask how they too can have healthy relationships with others, she tells them simply, “Notice!” Pay attention.

More information than you presume lies within every situation.

Shannon works with authors, businesses and entrepreneurs to assist them to understand personality differences and workplace strategies. She coaches and graphic records for groups, workshops, seminars and, individuals.

Visit her websites at:

ShannonParish.com • CompletedPeople.com IllustratingYou.co

Index 5 minute meeting see Meetings 5S Methodology 105

A

A-B-C mover spreadsheet 85 ‘A’ Movers 44 a brief meeting see Meetings a Longer, Transformative Meeting see Meetings accountability ix-x, 31, 87, see also Building Blocks to Success accuracy 42, 92, 121, 143-144 advancement 87-89, 91, 93, 95, 97 Ambrose, Stephen E. 13 Angelo, Maya 110 annual raise 97 annual review xv, 51 articulate your vision 16 Assessment Initial Facility 36 Routine 113, 116 attendance 39, 55-56, 73-74, 88, 96, 114 attitude 3, 14, 31, 58, 78, 96 attributes of a good leader 22 Award 54, 56-57 and Reward Employee Performance 56 safety 56

B

‘B’ movers 44 baton 120-21 battery 36, 60-61, 64 battery room operations permit see certificates and permits Building Blocks to Success 3, 27 Honesty 3, 27 Integrity 28 Leadership 28 Team Building 29 Training 29

Effective Daily Plan of Action 30 Accountability 30 Timing 31 People 32 The Facility 32 bolts and nuts 59-60 bottlenecks 22, 39-40, 43, 65 Branson, Sir Richard 7 brief team meeting 71 British 24 Bryant, Bear 9 budget xiv, 15, 60, 81 Buffett, Warren 28 building permit see certificates and permits burnout 25, 126

C

‘C’ movers 44 California 64 California Institute of Technology x carbon footprint 42, 110, 137 career advancement plans 87 career growth 89 CEO 103-104 Chief Executive Officer see CEO certificates and permits battery room operations permit 64 building permit 64 Class B, Class A License with D.O.T. 64 Department of Transportation 64 Equipment Operations Certificate 64 Fire Alarm System Inspection 64 fire extinguisher inspection 63 hazardous materials handling 64 hazardous materials storage 36 high-pile storage 63 Security Alarm System 64 Train the trainer 64 change agent(s) 11, 17-18, 131 chaos 4, 112, 115

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CLAMP see Closed Loop Aeronautical Maintenance Program Class B, Class A License with D.O.T. see certificates and permits Closed Loop Aeronautical Maintenance Program xiv, xix, 100, 109 Coach Vince Lombardi 70, 112 command center 12 commitment iii, xii, 2, 13, 17, 89, 101, 103-4, 106-7, 113, 131 common sense 31-32 communicate 3, 11, 23, 34, 43, 70-72, 82, 85, 114, 116, 119, 124-25, 134 competition 2, 84, 122, 125 complacency 4, 112-13 Complacency Road 112-13 computer equipment 36 computer maintenance 16, 47 consistent and concise communication 104 Continental Army 24 Continuous Quality Improvement xix, 3, 105 correctness 121 cosmic junk 129-30 courage 31, 50, 52 courage under fire 52 CPR see Cardiopulmonary Resuscitation Cardiopulmonary Resuscitation xix, 66 CQI see Continuous Quality Improvement cross-training 91-92, 96, 114 customer satisfaction 64, 106 customer service 83, 96 customers 26, 38, 62, 80, 82-83, 91, 94, 114, 125

D

daily Game-play cards 9-10 daily plan of action see Effective Daily Plan of Action Declaration of Independence 50-51 Department of Transportation certificate see certificates and permits desk instructions 51, 109, 125 Dirty dozen see Nasty bugs DC see Distribution Center Distribution Center xv, xix, 91, 101, 123, 137

Do it right, do it well, do it often, make it safe, keep it safe 103 D.O.T. certificate see Department of Transportation certificate

E

ear to the rail 84 end zone 109, 115 Edison, Thomas A. 111 Effective Communication Guidelines 69 Be honest Be fair Be realistic Be respectful Be punctual Be patient Be willing to flex Be productive Be aware Effective Daily Planning see Building Blocks to Success effective interfacing 130 Employee Recognition Program 54-56 Epstein, Lita 80 Equipment Operations Certificate see Certificates and Permits essential documents 125

F

Facility Operations 21, 35, 37, 133 Fire Extinguisher Storage permit see Certificates and Permits fire extinguisher location points/updated inspection tags see assessment Fire Safety and Facility Evacuation Plan 66 forecasting 84-85

G

Gladstone, William 50 Golden Brick of Opportunity 111-12 Gretzky, Wayne 26 gridiron 5, 137

Index

H

halftime talk 72 hazardous materials xv, 36, 64, 137 hazardous materials handling certificate see certificates and permits hazardous materials storage permit see certificates and permits hazardous materials storage protocol see assessment, Initial Facility Assessment healthy balance 3, 81, 103, 128, 130-32 high operating standards 12 high-pile storage permit see certificates and permits high-piled combustible storage codes 44 highest caliber 1, 5, 49, 133 Hitler 13 Holtz, Lou 101 honesty see Building Blocks to Success honesty is still your best policy covenant 126 how a manager builds a team 21 HR see human resources human capital xiii, 1, 2, 22, 69, 130, 132, 137 human resources xix, 89, 135

I

“If you can count to 10� 110 IT see Information Technology Information Technology 47 Initial Facility Assessment see Assessment inspection 38, 63-64 integrity 35, 102, 131, see also Building Blocks to Success INTERACT course xiv International Organization for Standardization see ISO inventory issues and Neglect 83 inventory management skills 84-85, 87 inventory storage 16, 39 inventory trends 84 ISO xix, 1-2, 40, 106, 137 9000 106 9001 xiv, 106,

J-K

job description(s) 11, 47, 79, 88 Jobs, Steve 63 keep your boss in the loop 70, 116 Keller, Helen 122 keys for managerial success 11 Knafelc, Gary 78

L

Landry, Tom 29, 73 leadership 3-4, 6, 11, 22-23, 27-29, 32, 39, 46, 57, 73-74, 112, 116, 122, 138-39 see also Building Blocks to Success Lean Manufacturing program 105 learning is power 99 learning process 99 learning style 101 Lee, Harper 85 legal 63, 80, 102 liability 37, 63 Logistics Analyst xiv, 42 Lombardi, Vince 13, 29, 70, 78, 105-6 Lombardi, Vince Jr. 46, 112 Longer, Transformative Meetings see meetings loyalty 30, 96

M

Madhoff, Bernie 11 Make every square foot count 81 Manning, Peyton 30 material flow xvi, 41 Material handling equipment 26, 36-38, 45 Material Handling Equipment Usage 43 Maxwell, John C. 57 Mechanics of Material Flow 41 mediocrity 4 Meet with each employee 88 Meeting agenda 73-74 Meetings

5 Minute Meeting 71

a Brief Meeting 71

a Longer, Transformative Meeting 73

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Standard Meeting 74, 78

Team Meeting 55, 71, 75, meticulousness 121 Myers-Briggs Type Indicator (MBTI) 24-25, 134

N

Nasty bugs see Dirty Dozen Navy xiv, ix, 35 negative feedback 116 new employee 54, 88-89 New-hire packet 88-89 number one asset 19-21, 44, 56 Nuts and Bolts 59, 60

O

office desk 12 OJT see On-the-job training Occupational Safety and Health Administration see OSHA On-the-job training xiv, xix, 3, 22, 100 One true thing 127-28, 132 operating instructions 125 operating standards 4, 12 operational issues 52 operational structure 64 Operations Playbook see World-Class Operations Playbook Oracle shipping systems xvi organize your facility 81 Orwell, George 119 OSHA xix, 46, 103

P

P&L see Profit and Loss Pallet Jack 89, 100, 109 Pallet Racking Alignment 43-44 Patton, General George 23 people see Building Blocks to Success performance recognition 56 personnel/training file 19 plan to win with a winning plan 124

Playbook see World-Class Operations Playbook policies and procedures xiv-xv, 88, 125 positive behavior 57 precision 3, 16, 18, 31, 43, 45, 59, 81, 119, 121-22 premier performance 103-4, 107, 125 pressure 46, 48, 52, 66, 97, 122 Procedure Manuals 125 procrastination 25-26 productivity 25, 40, 43-44, 46, 55-56, 61-62, 64, 66-67, 75, 87-88, 90, 94, 96, 109-10 Productivity standards 55, 87-88, 90 Profit and Loss xix, 79-80 Project Management System 15 propane tank 60

Q

quadratic equation 42, 45-46 quadratic formula 41, 138 quality customer service management 83 presentation 62 Skill Sets Program 90 updates 70

R

racking material 36, 43 Radio Frequency xix, 6, 90, 138 real-time status 37 recognize and reward 54, 104 red flag individuals 14 red flags 116 Red Prairie (WMS) 87 response time 115 retention xv, 56, 89, 94, 101, 142 Return on Investment xix, 80, 86 RF see Radio Frequency right stuff 13, 16, 21-22 risk management xv roadblocks 39-40, 43, 60 ROI see Return on Investment Routine Assessments see Assessment

Index

S

Safety awards 56 equipment 36 first 44, 71, 102 regulations 102 training 101-2, 104, 114 training programs 102 Sakharov, Andrei 122 SAP see Systems Applications and Products Security Alarm Systems permit see certificates and permits serpentine flow 65, 67 Schapelhouman, HenriĂŤt 24 simplicity 7, 28, 109-10, 112 Six Sigma Lean 105 SKU see Stock Keeping Unit Sneezer 74 sound bite 74, 119 spreadsheet(s) 38, 82, 85 Stack Chart 96, 138 standard meeting see Meeting Standard of Excellence 49, 55 standard operating procedures 51 STEP see Supervisor Training Education Program Stock-Keeping Unit xix, xv, 85, 138 strengths and weaknesses 24, 33 StrengthsFinder 24-5, 134 Succession chart 92, 94-95 Succession plan 92-93, 98 Super Bowl 13, 43 Supervisor Training Education Program xiv, xix Systems Applications and Products xiv, xix

T

team building see Building Blocks to Success team meeting see Meetings Ten Building Blocks to Success 27 see also Building Blocks to Success the buck stops here 102 The facility see Building Blocks to Success Tickler system 14-15, 127

Timing see Building Blocks to Success Total Quality Management xix, 105 TQM see Total Quality Management tracking systems 38 Train the Trainer certificate see certificates and permits Training see Building Blocks to Success training and learning styles 101 training manuals 51 Transformative meeting see Meeting Truman, President Harry 102 Two Buckets 59 two-minute warning 116

U-V

Ultimate Makeover (the) 8 US Constitution 50-51 value stream mapping 105 vision board 62 visualize the future 123-24

W

Walton, Sam 66 Warehouse management systems software xix, 87 warehouse operations 35 warehouse support equipment see Assessment, Initial Facility Washington, George 23 We the People 50, 52 well-maintained equipment 61 wisdom 50, 112, 126 WMS see Warehouse management system software. work center 14, 23, 138 World-class—defined 1, 138 World-Class Operations Playbook 2, 3, 8-9, 16-17, 19, 70, 115, 127, 131

Yellen, Janet 84

Y

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